The board of directors of Caterpillar Inc. last week voted to raise the quarterly cash dividend by six cents to $0.52 cents per share of common stock, payable Aug. 20, to stockholders of record at the close of business July 20. The $0.52 dividend is an increase of 13 percent over the previous rate of $0.46 per share.
“As part of our strategy, over the business cycle, we aim to deliver total stockholder return in the upper 25 percent of the S&P 500 and this 13 percent increase in our dividend represents our continued commitment to providing value to stockholders,” said Caterpillar chairman and CEO Doug Oberhelman. “We believe dividend payments are a good way to reward long term investors in Caterpillar, and we hope policy makers in the United States will take steps to change tax policy rather than punishing long term investors. Without such a change, the tax rate on dividend income will nearly triple for many stockholders next year.”
Peoria, Ill.-based Caterpillar Inc. is a leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. For more information, visit www.caterpillar.com.